The Company: Provider of IT managed services and cloud collaboration solutions. The Company’s management team owns corporate real estate held in a LLC outside of the Company. The Financing Situation: The Company was in need of upfront working capital for new contracts, but did not have availability on its bank ABL. The bank ABL had recently closed its credit facility and was not able to provide additional financing until there was a...
The Company: Industrial recycling company that sells processed and unprocessed materials to domestic and international mills, foundries, and other material processors. Ownership: Family-owned. Financial Profile: $40 million of revenue. The Financing Situation: Management was exploring a sale of the Company and needed additional working capital beyond the availability on their asset-based credit facility. SG was approached by the Company’s...
The Company: Non-VC/sponsor backed cloud-based video storage provider for smart home devices. Revenue: $10mm+ run rate | EBITDA: Break-even The Financing Situation: The Company was searching for a non-dilutive capital solution to help finance continued growth – customer acquisition costs and new data center facility capex. Bank financing was not an option given a combination of the Company’s non-institutional ownership and current...
The Company: Founder owned staffing company that provides a full suite of employment solutions to IT, life sciences, and business services clients. Financial Profile: Revenue: $85.0MM | EBITDA: $4.0MM The Financing Situation: The Company had realized strong revenue growth over the last few years and had a strong pipeline for continued growth. The Company’s bank, Wells Fargo Capital Finance (“Wells Fargo”), was in the process of increasing...
The Company: Privately owned wholesaler of licensed toys, collectibles, and housewares. Revenue: $22mm | EBITDA: $2.8mm The Financing Situation: The Company needed additional working capital to purchase inventory in advance of the holiday busy season. The Company has a flexible asset-based credit facility from FSW Funding (“FSW”), however, given the seasonality of revenue, the Company’s current accounts receivable balance did not provide...
The Company: Privately owned portfolio of commercial and residential real estate. Total portfolio value: $300 million. The Financing Situation: Successful retail entrepreneur diversified his wealth into real estate. While the Company was in the process of selling several large commercial real estate properties in California for liquidity, there was a working capital need to cover operating costs until the transactions closed. The Solution: Super...
The Company: Publicly held (OTC) provider of telecom & engineering services and solutions. Financial Profile (Consolidated): Revenue: $32mm | EBITDA: $2.7mm The Financing Situation: The Company was seeking subordinated debt to help finance the acquisition of a telecom staffing company that would expand its geographic footprint and service offerings. Given the consolidated EBITDA profile (<$5mm) of the business, traditional mezzanine...
The Company: Privately owned manufacturer of premium artisanal Greek yogurt, handmade from a proprietary family recipe. Financial Profile: Revenue: $21MM | EBITDA: $2MM The Financing Situation: The Company had engaged a middle market investment bank to secure a large round of growth equity capital. During this process, the Company required additional working capital to help complete the opening of a new manufacturing facility that would...
The Company: Family-office backed U.S. manufacturer and supplier of specialty textiles. The Financing Situation: The Company was in the process of refinancing its existing senior credit facility with a lower cost ABL facility. However, there was insufficient collateral availability to pay off the entire senior credit facility balance. The Company’s M&E was already levered so the shortfall could only be solved with additional equity...
The Company: Leading producer of perennials, annuals and tropical plants and one of the largest greenhouse operations in the United States. The Financing Situation: The Company needed additional working capital for its low season (fall – winter), when sales volumes are at their lowest and preparations for the spring high-volume period begin. The Company has an asset based lending facility in place for working capital, but AR & inventory...